Last week, Lomiko Metals Inc. (LMR:CA) received approval from the TSX Venture Exchange for an option that gives Lomiko the exclusive right to acquire an additional 40% undivided interest in La Loutre Property, as well as an 80% undivided interest in the Lac des Iles Property from Canada Strategic Metals.
Tesla Motors Inc. (TSLA) is currently building a massive “giga-factory” that alone will consume 120,000 tonnes of flake graphite by 2020, the equivalent of five new mines. The graphite and graphene markets together are expected to grow by 10% per year, and Lomiko aims to develop a resource of graphite for these markets.
“Graphite is a key element in the new green economy,” says Lomiko President and CEO Paul Gill. “High purity, large flake graphite is vital to the production of lithium-ion batteries, which run everything from your smart phone to electric cars. Demand increases every year, and we want to position the company to take advantage of that demand.”
In the week prior, Lomiko announced that CEO A. Paul Gill was appointed to the Board of Graphene Energy Storage Devices (Graphene ESD) at the other end of Lomiko's development strategy. With the graphite project moving toward exploration, and resource estimate in partnership with Canada Strategic, Lomiko is able to focus on technology initiatives under Lomiko Technologies. This allows the company to keep all their graphene investments under one roof, providing shareholders with a stake in both facets of the company. Currently, the Lomiko Metals Inc. market cap is valued at $8 million.
In 2012, Lomiko Metals Inc. began as a graphite company. In 2013, they began researching graphene, a new material made entirely of carbon with a number of exceptionally valuable properties. Lomiko has bet heavily on plays in graphene technology. Currently, the company owns 4.4 million shares of Graphene 3D Lab, trading at about 0.75 and 40% of the private company Graphene ESD.
New Uses for Graphene Position Lomiko for Exceptional Growth
Graphene is about 200 times stronger than steel by weight, it efficiently conducts heat and electricity and is nearly transparent, making the material ideal for use in semiconductor, electronics, battery energy and composites industries. Lomiko has also formed an alliance with Graphene Labs to explore and research the potential for infusing graphene into plastic, creating a conductive plastic that could be put into a 3D printer. This would allow for the printing of fully-functional, electrically-conductive products – and serves as an indication of the vast array of uses for graphene. In 2014, the global market for graphene was reported to have reached $9 million.
"To be economically viable, La Loutre must be able to deliver 1 Million Tonnes of >94%Purity Graphite" said Jean-Sebastien Lavallée, Chief Executive Officer of Canada Strategic Metals. "To achieve this, the minimum resource must be 20 Million Tonnes of 5% CGH. We have a good location near Imerys. Setting high standards is required to stand out in the current and future graphite market.In addition, we would like to define material >99.99% to be base material for conversion to ultra-pure carbon and graphene for use in 3D Printing and Supercapacitors.””
In the conversion process from graphite to graphene, natural graphite flakes are oxidized and turned into Graphene Oxide (GO) by modified Hummer's method. This results in a stable, aqueous dispersion with concentration.. Further, the GO is then converted into Reduced Graphene Oxide (RGO). Starting with a pure raw material prevents impurities that affect the quality of the resulting graphene.
With multiple sources of revenue, new sales starting and sales reporting from Graphene 3D, and new drilling for resources beginning, Gill says Lomiko Metals and Lomiko Technologies are both on “the cusp of exponential growth.” The markets seems to bear out Gill’s prediction, as See-Thru Equity has a 19 cent target on Lomiko –approximately 300% above the company’s current valuation. “This is the time that shareholders will see great value within Lomiko Metals and Lomiko Technologies,” says Gill.
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